13 On January 1,2013 Doro Corp. granted an employee an option to purchase 5,000 shares of Doro's $5 par value common stock at $20 per share. The options became exercisable on December 31, 2016, after the employee compieted four years of service. The options were exercised on January 10, 2017. The market prices of the company's stock were as follows January 1, 2013, $30: December 31, 2016, $50; and January 10, 2017, $45. The pricing model estimated the value of the option at $8 each on the grant date. How much is compensation expense for 2013 ? (Show computation) a) $10,000 b) $45,000 c) $12,000 d) 40,000 se the following information for questions 11 and 12. lapier Co. provided the following information on selected transactions during 2011: Purchase of Furniture Proceeds from issuing stocks Purchases of inventory Purchases of treasury stock Loans made to affliated corporations Dividends paid to preferred stockholders Payment of Note Payable(short-term) Proceeds from sale of equipment $250,000 500,000 950,000 50,000 350,000 100,000 100,000 50,000 The net cash provided (used) by investing activities during 2011is a. $50,000. b. $(300,000) c. (50,000). d. $( 550,000). 4. The net cash provided by financing activities during 2011 is a. $250,000. b. $650,000. c. $800,000. d. $150,000. 5. When using the indirect method to prepare the operating section of a statem flows, which of the following is added to net income to compute cash provi by operating activities? a. Amortization of patent. b. Gain on sale of land. c. Increase in accounts receivable. d. All of the above are added to net income to arrive at cash flow activities. hen preparing a statement of cash fiows, a decrease in prepaid insurance would require which of the following adiustments in cietermining c